Business & GA

A full weekend of negotiation between Hawker Beechcraft management and the union representing its machinists has resulted in a deal that could end their strike and restart production.

"If it's ratified on Thursday the pickets come down and everybody comes back to work on Tuesday," says Machinists Union spokesman Bob Wood. "Our negotiation committee is unanimously recommending it," he adds.

The three-year contract "builds upon" what was overwhelmingly rejected on 2 August, says Hawker Beechcraft. "Employee contributions to health care, vision and dental premiums will remain frozen at the 2008 rates over the next three years. Even though Hawker Beechcraft's healthcare costs will continue to escalate, employee contributions will not increase," it says. "Pension benefits will increase by $7 per month per year of service, all front-loaded and available from 1 January 2009."

Wood says the original pension increase was $6 a month per year of service, increased in $2 increments each year. The most significant breakthrough is shifting the health insurance increases away from workers. "That makes our raises real raises," he says.

Salary increases were not renegotiated, and remain at 4% rises each year for three years. Those ought to be higher, he adds, "but on a strike like this, when you make your real improvements is in the next contract".

Very few workers crossed picket lines, he says, and aircraft production was halted. "They've pushed a couple out of the door that we had almost completely finished, but they have not been building airplanes, they've been fiddling with them."